China E-ventions
Selected Software-Related Invention Patents
Vol. 2 , No. 7 - July 5, 2002
Welcome to China E-ventions. Keeping up with technology is difficult enough, but learning about new trends in patent examination methods and policies in different countries is a monumental task. One area of keen interest these days involves a particular classification of patent that goes by many names: business method patent, Internet patent, software patent, and so on - in China, "software-related invention patents". To be clear, many of these names have distinct definitions in certain jurisdictions; however, their similarity has caused great confusion for international practitioners.
The purpose of this newsletter is to provide the foreign patent practitioner with China patent news as well as a regular snapshot of how China's State Intellectual Property Office (SIPO) is approaching these kinds of inventions.
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Motorola Sued on Charges of IP Infringement
Shanghai DBTEL Industrial Co. Ltd. (DBTEL) recently filed two suits with the Shanghai No. 2 intermediate people's court charging Motorola (China) Electronic Ltd. (Motorola) with encroachment on DBTEL's exterior and circuit board design proprietary rights.
In 1999, Motorola's most popular mobile phone, the ModIII, was suffering from a fall in market share and with a large inventory at its disposal it had entrusted DBTEL's parent company, DABA, with the design and manufacture of a new mini cellular phone to suit the Chinese market. It took DBTEL over a year to get a new model mass-produced under the brand name MOTOROLAT189 (T189) and buying orders from Motorola.
Then in April 2002, Motorola unexpectedly stopped placing purchase orders for the T189 and shortly thereafter released its own C289 model. DBTEL claims the C289 appearance and circuit design are very similar to its own T189 to which DBTEL enjoys the exclusive patent property right. DBTEL claims Motorola's acts constitute a breach of DBTEL's property rights and as a result it has suffered considerable financial damage.
DBTEL has sought an immediate cessation in the production and sale of Motorola's C289 as well as a compensation amounting to RMB 198 million.
(Source: People's Daily)
First Chinese Extraction Software Gains US Patent
Much of the Internet congestion experienced by its users is caused by large-sized e-mails. A Chinese consortium has recently developed extraction software to help alleviate the problem. SmartComprez, a method of slimming large files and its software has been granted a US patent, according to a recent announcement by the Regulatory Committee of Zhongguancun Science Park and the Institute of Software, Chinese Academy of Sciences (CAS).
Bai Chunli, Vice President of the Chinese Academy of Sciences, attended the press conference held in Beijing and offered his congratulations to the first home made software to gain a US patent. "The reason so few made-in-China products could be found in the IT field is that we do not have the intellectual rights for certain key technology," said Bai, "and I was very glad to see one of the CAS affiliates make a breakthrough in the software field."
Internet congestion has become an increasingly bigger problem with more and more people logging-on and using the Internet. As most users of the Internet already know, high quality picture usually require several thousand kilobytes of memory, thus the ability to slim files and emails has been a much sort after feature of many software producers. Experts from Global Network Co., the CAS affiliate company producing SmartComprez software, said their products can compress a picture to one twentieth of its original size, while the most commonly used foreign extraction software at present can only achieve a few-fold reduction.
(Source: China.org.cn)
IPR Protection Enforced in China
Customs in the Chinese city of Fuzhou, capital of East China's Fujian Province, have tightened their control over infringing intellectual property rights material and since last year have solved 39 entry-exit infringement cases.
The cases involved more than 1.3 million products of famous brands, ranging from cigarettes, sports shoes and spare parts for automobiles, the total value of which exceeded RMB 5 million (US $604,000).
(Source: China Daily)
Tax Policy Bid to Lure Capital in Drug Sector
China is considering the implementation of a more favorable taxation policy to encourage capital inflows into the country's pharmaceutical industry, a senior official said yesterday.
The Ministry of Science and Technology and other government departments are considering reducing or even exempting tax for developers of new drugs in an attempt to spearhead the future of the pharmaceutical sector said Mr. Li Sujing, head of the policy division of the Law and Regulation Department of the Ministry of Science and Technology. It is reported that policies in favor of Chinese herbal drugs development will also be considered.
Li Sujing said overseas investors could expect to benefit from the new policies. China is now a World Trade Organization member and the policies should apply to both home and overseas business people, he said.
Research and development in new drugs is still weak on the mainland although medical production has grown at an average 18% over the past five years.
Currently investors in the pharmaceutical sector on the mainland can make use of preferential policies for projects in high and new technology categories. "The policies we're making will ensure new drugs developers enjoy more than that," Li said.
To help acquaint investors with the mainland's market, the Ministry of Science and Technology is working with other Ministries, State administrations and industrial associations to establish a national database on technologies, Lin said. The database will also integrate the electronic networks run by many Ministries, Commissions and Associations and is aimed at helping business people make smart investment decisions, to avoid low efficient start-ups, outdated techniques and encroachment of intellectual property rights.
The Chinese government is apparently stepping up its efforts to encourage new technologies as it is allocating more State revenue for fundamental research. In the central government's recently released technical invention and renovation 10th Five-Year Plan (2001-2005), the government sets compulsory rules requiring certain enterprises to set aside 5% of their sales income for research and development while other enterprises should input at least 1.5%.
(Source: China Daily)
A Selection of Software-related Invention Patents Published in China
Application Number: 00112065
Publication Number: 1268716
Application Date: 00.01.26
Publication Date: 00.10.04
Title: Anti-counterfeit method of financial bills
Intl. Class. Nr.: G06F 17/60
Applicant(s)Name: Zhou Yulong
Inventor(s) Name: Zhou Yulong
Legal Status: Publication
Abstract: The present invention is an anti-counterfeit method for financial notes. The present invention registers the written form financial note in a network database to form a digital code note. This characterization is then used by the anti-counterfeit code to check the written form note corresponds to the digital code note. The network communication device, anti-false register of note and inquiry and checking operations can easily detect a anti-forgery, change or duplicating actions.
Application Number: 99103158
Publication Number: 1268717
Application Date: 99.03.24
Publication Date: 00.10.04
Title: Anti-counterfeit method of credentials
Intl. Class. Nr.: G06F 17/60
Applicant(s)Name: Zhang Tianhui
Inventor(s) Name: Zhang Tianhui
Legal Status: Publication
Abstract: The present invention is a counterfeit detection device. It stores the code or cipher of certificates, identity numbers of certificate holders, identity characteristic information of certificate holders etc. into the database of the computer certificate inquiry system established by the organization issuing the certificate. The inquirer inputs the related code, cipher, number of the certificate to be identified into the terminal equipment such as telephone or computer linked with the certificate inquiry system, through checking with the stored information in the database to achieve the aim of identify whether the certificate is true or false. The invented method possesses the advantages of being simple, practical, safe reliable etc.
Application Number: 00103143
Publication Number: 1314640
Application Date: 00.03.20
Publication Date: 01.09.26
Title: Method for commercial advertisement operation by computer generation
Intl. Class. Nr.: G06F 15/16; G06F 17/30
Applicant(s)Name: Wu Changlong
Inventor(s) Name: Wu Changlong; Cai Fuqian
Legal Status: Publication
Abstract: Unlike the advertising and trade mode utilizing traditional billboards, the present invention advertises in commercial trade via the Internet. The present invention includes a main control stage, advertisement client computer, network browser, local advertisement server, web page advertisement output unit, etc. The method of the present invention has registration feature, search feature concerning the advertisement, appointment, paying, advertisement playback and other programs. The method of the present provides consumers with network trade mechanism, where the order may be transferred to the advertising client allowing the product to be delivered to the consumer quickly.
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China E-ventions is intended to be used for news purposes only. It should not be taken as comprehensive legal advice, and Lehman, Lee & Xu will not be held responsible for any such reliance on its contents.
